KARACHI: Securities and Exchange Commission of Pakistan (SECP) Chairman Farrukh H Sabzwari visited the Pakistan Stock Exchange on the invitation of PSX Stockbrokers Association (PSA), a statement said on Tuesday.
PSA Secretary General Adil Ghaffar highlighted the issues related to volumes and said that the current turnover in the stock market will eventually lead many stock brokers /TREC holders out of business.
He stressed the present regulations are cumbersome and regulatory environment should be relaxed to allow TREC holders concentrate on marketing rather than complying with over-regulations.
Sabzwari said that many of the proposals submitted by PSA have been approved and numerous are under process.
The house appreciated SECP chairman’s efforts and opened the floor for interactive session. Keen interest was observed with overwhelming response from the TREC holders.
Various issues being faced by the members were also discussed, which are contributing in the continuous decline of the market and members expressed their confidence, that the SECP would be able to resolve these issues, as the chairman has an extensive exposure to the stock market.
They also emphasised that the improvement of the market is also in the interest of the government. There can be no economically successful Pakistan without a vibrant stock market. Being fully documented and tax compliant industry of Pakistan, it should be incentivised.
The SECP chairman shared his perspective and responded to the queries of the house.
He listened to all the issues and extended full support of the commission to the stock market and assured to do his best for the capital formation.
The stock market plays a vital role in an economy, he said, adding that the commission is in the process of streamlining the regulatory burden to the brokers.
He also assured the house that reasonable measures will be observed to promote investment in the stock market, and the investors will be encouraged.
Ease of doing business will be promoted, concerns and issues will be resolved in due course and the cost of doing business, which is affecting the market, will also be considered to reduce as the issues had already been addressed before the house and in multiple meetings held with the PSA representatives.